Gotta theory. Brace....
As @ianmulheirn has reminded us, a house is a Thing that Provides Housing Services. Take that, discount it - the housing asset is the right to those services - and you have a kinda theory of the price. Obviously, lots of room for speculation... 1/
As @ianmulheirn has reminded us, a house is a Thing that Provides Housing Services. Take that, discount it - the housing asset is the right to those services - and you have a kinda theory of the price. Obviously, lots of room for speculation... 1/
Then along comes Covid and house is also meaningfully valuable as a Thing that provides Workplace Services. Not all houses are valuable that way, but those that are, rise in value reflecting how the demand to work at home has risen...2/
So houses - or at least some houses - are now more valuable. They've taken some of the value that has fallen out of offices... 3/
So I expect the housing market to be a bit weird. Higher unemployment etc will have its effect but other weird Covid eddies will ruffle the macro wave.... 4/4
